New York files suit against Trump Foundation

New York Attorney General Barbara Underwood sued Donald Trump and his three oldest children for "persistent illegal conduct" at the Donald J. Trump Foundation, alleging that the charity's funds were illegally used to promote the 2016 presidential campaign, settle lawsuits, and even pay for a painting depicting Trump.

"The Trump Foundation was little more than a checkbook for payments from Mr. Trump or his businesses to nonprofits, regardless of their purpose or legality," Underwood said in a statement.

President Trump on Twitter declared "I won't settle this case!" He called the lawsuit "ridiculous."

The suit filed today in New York state court describes how shortly before the Iowa caucuses in January 2016, Trump skipped a candidates' debate on Fox News and instead held a fundraiser for military veterans that attracted $5.6 million, half of which went to the Trump Foundation. Campaign manager Corey Lewandowski and other senior campaign officials determined which parties got the donations, a violation of the law stating nonprofits like the Trump Foundation are barred from political activity.

"Is there any way we can make some disbursements this week while in Iowa?" Lewandowski wrote in a Jan. 29, 2016 email to Trump Organization chief financial officer Allen Weisselberg.

The attorney general also says $100,000 of Trump Foundation money was used to settle a legal claim against Trump's Mar-a-Lago resort, $158,000 was spent to settle a suit against Trump National Golf Club, and $10,000 was spent at a charity auction to purchase a painting of Trump that is now displayed at the Trump National Doral golf club in Miami. None of those costs were approved by the charity's board, whose members include Ivanka, Donald Jr. and Eric Trump. The board hasn't met since 1999 and has no criteria for determining how grant dollars are allocated, according to the suit.

Underwood seeks to dissolve the Trump Foundation and requested $2.8 million in restitution.

The Trump Foundation issued a statement describing the lawsuit as "politics at its very worst," adding that Underwood's "recent statement that battling the White House is 'the most important work [she has] ever done' shows that such political attacks will continue unabated."

A spokeswoman for Underwood fired back, tweeting "Anyone who breaks our state’s charities laws should be held accountable, no matter their position."

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